Transcript of The shale gas controversy

use of a 20-year time horizon for global warming potential of methane is "too short period to be appropriate for policy analysis." production is non-economicalproduction volumes are far below original estimatesInvestment-> quantity producedshale gas may result in the release of more greenhouse gases

shale gas emits larger amounts of methane- greenhouse gas, than does conventional gas. Methane- very powerful - stays in the atmosphere 1/10 as long a period of carbon dioxide. If you want to rule the world do you need to control gas? Geology Economy: What is the strategy? History 1821- shale gas was first extracted (Fredonia, NY) shallow, low-pressure fractures.1930- first horizontal drilling1970- industrial-scale shale gas production, declining production potential from conventional gas => invest in R&D and demonstration projectsled to directional and horizontal drilling and massive hydraulic fracturing U.S. government's Energy Information Administration predicts that by 2035 46% of the United States' natural gas supply will come from shale gasPersuade other countries to extract shale gas China is estimated to have the world's largest shale gas reserves. Could shale gas production in the US help prevent Russia from dictating higher prices for the gas they export to European countries.

Is it possible that gas consumption will become more significant than oil consumption? Shales have insufficient permeabilityTo allow significant fluid flow to a well bore

=> create maximum surface area in contact with the shale

Horizontal drilling is often used, with lateral lengths up to 3 km within the shale.shale gas boomModern technology in hydraulic fracturing (fracking) to create extensive artificial fractures around well bores. shale gas has been produced for more than 100 years in US wells were often marginally economical. ==>higher natural-gas prices in recent years==>advances in hydraulic fracturing and horizontal drilling Have made shale-gas wells more profitable.Shale gas tends to cost more to produce than gas from conventional wellsUK gas consumption of 3.5 trillion cubic feet cost of extracting this gas with existing technology would be probably be more than $200 per barrel UK North Sea oil prices were about $120 per barrel Aubrey K. McClendon, CEO of Chesapeake Energy Barack Obama, USA Texas geologist Arthur Berman Promote shale gas as a natural gasPersuade other countries to extract shale gastechnological background and experiencemost of the countries have to cooperate with them to extractcontrol of extraction and profitsProduction increaseCosts of shale gas are getting lowerPeople choose cheaper goodsShale gas more profitable than conventional gas and oil? In November 2009, US President Barack Obama agreed to share US gas-shale technology with China, and to promote US investment in Chinese shale-gas development. The Organisation for Economic Co-operation and Development (OECD) What are the perspectives? If you want to rule the world do you need to control gas? Could shale gas production in the US help prevent Russia and Persian Gulf countries from dictating higher prices for the gas they export to European countries.

Is it possible that gas consumption will become more significant than oil consumption? Conclusions What are the obstacles? South Africa The Karoo Basin, contains areas of volcanic => risks of shale gas exploration opposition of environmentalists, farmers and local residentsQuebec Minister of Environment Pierre Arcand stated that “We are committed to making sure that it is done properly or it won’t be done at all”India the government-issued law=>do not include unconventional sources such as shale gasFrance French government has suspended gas exploration permits François Hollande canceled seven permits for shale gas drilling. He declared "In the current state of art, no one can tell that shale gas and oil extraction by hydraulic fracturing, the only technique known today, is exempt from heavy risks for health and environment."